Amazon Will Pay $2.5 Billion to Settle FTC Suit That Alleged ‘Dark Patterns’ in Prime Sign-Ups

Following a lengthy investigation, Amazon has agreed to pay $2.5 billion to settle a Federal Trade Commission (FTC) suit that alleged the company used ‘dark patterns’ to manipulate users into signing up for its Prime subscription service.

The FTC accused Amazon of deceiving customers by making it difficult for them to cancel their free trial memberships, leading to unexpected charges on their credit cards.

Amazon denied any wrongdoing but agreed to the settlement to avoid a lengthy court battle.

The $2.5 billion payment is one of the largest ever made by a company to settle an FTC case.

Amazon also agreed to make changes to its sign-up process for Prime memberships, ensuring that customers have full transparency and control over their subscriptions.

The settlement serves as a reminder to all companies that they must be honest and transparent in their dealings with customers.

This case highlights the importance of regulatory oversight to protect consumers from deceptive practices.

Amazon will now be under increased scrutiny to ensure compliance with the terms of the settlement.

Overall, this settlement sends a strong message to companies that engaging in ‘dark patterns’ and deceptive practices will not be tolerated.

Consumers can now have greater confidence in the transparency and fairness of online subscription services.